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U.S. Morning Call: Out with the new, in with the old at JCP

Tuesday, April 09, 2013 - 03:28

April 9 - The board of J.C. Penney is facing scathing criticism from retail investors after ousting CEO Ron Johnson for predecessor Myron Ullman.

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Interbank offered Tuesday attention JC Penney shoppers. Meet new boss. Same as the old boss the retailer is getting rid of CEO Ron Johnson installing his predecessor Mike Ullman. What is this new old guy really the man for the job. Let's take a look in Johnson's seventeen month tenure JC penny stock declined 26%. It's down 5% in the premarket. Michael Lind led the retailer from 2000 ports 2011. And the stock declined about 15% band. Now Johnson was by no means successful at turning around JC Penney hours after the switch retail investors side is back to the future move. Saying all that someone has already been tried before what analysts saying quote. When he board that keeps making errors like that -- lose -- not just as CEO but in the board as well. Altman's return off a surprising -- how -- his tenure had been condemned by and large shareholder. Don't act -- with a 17%. Stake in the company is wearing. Out in space this morning. Especially after -- undying support for Johnson in a Reuters interview on Friday. CEO of Johnson gets picked on more than any other -- in the country. Do you really believe that criticisms not deserve criticism is deserved. And runs working very hard. And all of the data that comment is but you know look. He's this is a very difficult thing to do. He is and I think the ad hominem criticisms I think it's inappropriate but look he's. The buck stops with him and CEO of the company. If it's failing under his watch you know he deserves and the -- -- Responsibility for the. On the other hand activist investors Steven -- probably sign with relief. His son vornado realty had been JC Penney second largest investor until a month ago when it dumped more than 40% of its state. So what's next for JC Penney some analysts are suggesting a break up for sale of the company after Ron Johnson maybe he'll be hired back -- apple. In our stocks to watch this morning we're focusing in on the auto industry Ford saying it's focused model was the world's best selling passenger car in 2012. Data from automotive consulting firm poll showed that more than one -- -- focus cars were sold in China. Sales here in the US were up 40% last year shares of Ford rose 20% 2012 the stock roughly flat so foreign -- thirteen. Lackluster sales in Europe General Motors leading to bigger cuts at one of its South Korean plant. The automaker also warning it could remove operations from South Korea altogether in the future because of escalating tension with North Korea. Wrapping up with a look at US stock futures their point to open today. US treasury Treasury Secretary -- concludes a trip to Europe his second international tour since taking office a month ago. Earlier today he met with German finance minister Wolfgang Schaeuble is also set to meet with the French finance minister today. That's it you're Tuesday morning -- -- to follow us on Twitter at Reuters Insider get Margaret videos at Reuters dot com slash -- TV. I'm Lisa Bernhard. Is right it's.

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U.S. Morning Call: Out with the new, in with the old at JCP

Tuesday, April 09, 2013 - 03:28